FDI in LAC Region Falls for Third Straight Year

(Energy Analytics Institute, Ian Silverman, 12.Jul.2018) – Foreign Direct Investment (FDI) in Latin America and the Caribbean fell for a third straight year in 2017, reported the Economic Commission for Latin America and the Caribbean or CEPAL by its Spanish acronym.

The details were revealed in CEPAL’s annual report titled “FDI in Latin America and the Caribbean 2018.”

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Haiti Backtracks on Fuel Increase

(Energy Analytics Institute, Ian Silverman, 9.Jul.2018) – The Haitian government reversed a controversial fuel hike announced over the weekend due to violent protest in the capital and other parts of the country.

The fuel hike was implemented as part of IMF stipulated sanctions, reported the daily newspaper Listin Diario.

The Miami Herald reported that “the announced fuel hikes, which took effect at midnight Friday before being temporarily suspended, called for a 38 percent increase for gas, 47 percent for diesel and 51 percent for kerosene.”

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Dominican Republic to Join Caribbean Energy Rush

(Bloomberg, Ezra Fieser, 5.Mar.2018) – The Dominican Republic expects to draw interest from energy titans BP Plc and Exxon Mobil Corp. when it opens the country to natural gas and oil exploration for the first time later this month, joining a push by governments across the Caribbean to develop energy production.

The government plans to open two land blocks for oil exploration and two offshore blocks for natural gas exploratory drilling by the end of March, said Energy and Mining Minister Isa Conde in an interview in Santo Domingo. An Exxon spokeswoman said in an email that the company does not comment on future business plans. BP did not respond to an email seeking comment.

“This is completely virgin territory for us,” Conde said. “But we would not be going forward if we had not received assurances from international companies and investors that there was substantial interest.’’

Developing the industry would give the nation of 11 million another source of foreign exchange earnings and allow it to cut its fuel import bill, Conde said. Although few Caribbean islands have developed significant commercial production outside of Trinidad & Tobago, a top exporter of liquefied natural gas in the Americas, the region is rapidly drawing interest from energy companies.

Exxon is leading a group of companies developing 6.6-million-acres in Guyana’s waters that could make the country one of Latin America’s largest oil producers within a decade. That discovery has spurred interest in neighboring Suriname, while the government in the Bahamas is also opening offshore areas for exploration. In Jamaica, CGG GeoConsulting and the Petroleum Corporation of Jamaica said last month they had discovered oil seeps in two separate parts of the island.

Seismic study

The Dominican government does not have an estimate of the reserves and Conde said any production could be years away. A two-year seismic study found six areas that potentially hold light and heavy crude or natural gas. If the areas prove commercially viable, the government will likely demand production contracts in which it continues to own the land, he said.

The $72 billion economy is forecast to grow 4.5 percent this year, the most in Latin America after Panama, according to economists surveyed by Bloomberg.

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AES Terminal to Supply Caribbean, Central America

(AES Dominicana, 28.Jan.2017) – The AES Dominicana Liquefied Natural Gas reception terminal, located in the AES Andres energy complex, has completed the modifications to allow for re-loading and re-exportation of LNG to neighboring Caribbean islands and Central American countries, which can now benefit from the environmental and economic advantages of natural gas.

The information was provided by George Nemeth, Director of LNG Business Development at AES Mexico, Central America and the Caribbean (MCAC) during the 17th Annual Conference on Energy in the Caribbean organized by the Platts international institute, held in the Dominican Republic from January 26 to 27.

According to Nemeth, nine million dollars were invested in the project to build the new installations of the “AES Andres Marine Facility,” which consisted in adapting the existing LNG Reception Terminal to be a port of entry and exit for ships as small as 10,000 cubic meters, which can be filled directly from the existing LNG receiving terminal jetty. For smaller customers, AES will load LNG into ISO tanks at the Liquefied Natural Gas Truck Terminal so that LNG can be delivered via container vessels to neighboring countries. AES has recently begun exporting LNG to the Caribbean via ISO containers.

Innovative project

“This is a highly innovative project that counts on all the guarantees of safety and reliability in addition to the experience that all our professionals have in AES Dominicana that for more than 13 years have successfully operated the LNG terminal and during seven years the terminal to fill trucks,” said AES Dominicana President Edwin De los Santos.

With this project, which concluded at yearend 2016 – De los Santos says – Dominican Republic takes advantage of its excellent geographical location and becomes the first hub of Central America and the Caribbean for the import and export of natural gas, which translates into advantages of being an environmentally-friendly non-renewable energy, it’s clean because it doesn’t spew ash when ignited, it’s non-toxic and produces lower emissions than the traditional naphtha and diesel.

2017 and a vision of clean energy and innovation.

The commissioning of the AES Andres Marine Facility is one of the projects AES Dominicana has in its portfolio and joins the large-scale battery energy storage array system at AES Andres, Itabo and DPP, first and only in the Dominican Republic and the Central American and Caribbean region, which consists of installing around 30 megawatts (MW) to contribute to the stability of the interconnected electrical system (SENI) and continue with the injection of more efficient energy into the system. The DPP combined cycle will also start operations, which will inject an additional 114 MW of clean energy.

As to renewable energy, AES will add an average of 3.5 MW, through two solar projects in AES Andres and Itabo and two projects of micro hydraulic turbines, to maximize the injection of clean energy into the SENI.

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